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Shanumugam Associates Industrial And Labour Laws Services


Labour Law – Concerned with Labour


We provides Labour Laws Service, Industrial Law Services Laws are generally Substantial law and Procedural law
  • Substantial Law : Dealt with Act
  • Procedural Law : Dealt with Rules

Industrial Dispute Act 1947
Extends to whole of India

Definition

Sec –2(k)- Industrial Disputes:
Difference of Opinion
  • Between Management
  • Between Management and Employee
  • Among Employees

Sec-2(s)- Workmen :
Includes- Skilled, Semi skilled, Unskilled, Clerical, Casual, Permanent, Temporary workers

Does not include : Air Force, Navy, Army, Managerial and Administrative Capacity, Police Service, Supervisory capacity who is drawing salary exceeding Rs. 1600 pm.

Domestic Enquiry:
Charges framed and 1st show cause notice issued to the misconduct employee by the Mgt. Receiving the explanation
If not satisfied with the explanation preceding officers will be appointed by the management.

  1. Both the sides - Notice of Hearing
  2. Fair Opportunity should be given (by following the principles of natural justice)
  3. Report

Based on the Report 2nd Show cause notice issued

Explanation not satisfactory- Dismiss, Suspend or any other disciplinary action may be taken

Final Order: should get approved from the Industrial Tribunal - if more than 100 employees employed in the concern (or) from the Joint Commissioner of Labour U/s. 33(2)b of ID Act.

Dismissal: Punitive Action – No Benefits
Discharge: Punitive Action – with Benefits

Sec- 25G: Retrenchment:
  • Not enough job for all the workers
  • Should be in LIFO (Last In First Out) Method
  • 15 Days Wages*No. of completed year of service

Superannuation : Retirement/ VRS

Suspension : Subsistence Allowance must
  • Upto 90 days – 50% of wages
  • 90 – 180 days – 75% of wages
  • Above 180 days - 100% of wages

Conciliation Officer (ACL/LO)(Sec- 2(d))
  • Sec- 12(3) – Settlement
  • Sec- 12(4)- Failure Report

As per the reference given by the Appropriate Govt. and based on the failure report the matter may be referred to either

Chapter III


Reference of disputes to Boards Courts or Tribunals
  1. LABOUR COURT (Which is stated in the Second Schedule and U/s. 7) of ID Act)
  • Industrial Dispute(ID)Case – For dismissal etc.(Reinstatement with back wages)U/s.2A(2)
  • CP(Claim Petition) Case- Recovery of money due from an employer U/s.33C Complaint Petition (Comp.P)
ESIOP- Employees State Insurance Case

  • INDUSTRIAL TRIBUNAL (Which is stated in the Third Schedule and U/s. &7A)
  • If more than 100 employees –employed in a concern(U/s. 10A)
  • Appeal Authority- (HIGH COURT) – Writ Case.
  • If both the parties agrees- ARBITRATION(U/s. 10A)
  • If there is any dispute pending with respect to terms and conditions of service in any Forum App.Govt. has the powers to issue G.O. or any orders (U/s.10B)

Chapter IV


Procedure and Powers of Conciliation Officers, Boards, Courts and Tribunals (Sec 11 to 21)

Chapter V


Sec-22(1)- Strike (Sec- 2(q))- Cessation of work by Body of Individuals

Conditions:
  1. Within 6 weeks before strike – minimum 14 days notice should be given
  2. When conciliation proceedings going on and after 7days from the conclusion of such proceedings – no strike
  3. Before the expiry of date of strike specified in notice

Sec-22(2) – Lock out (Sec – 2(l)) - Closing of place of employment, Suspension of work
Conditions:
  1. Within 6 weeks before strike – minimum 14 days notice should be given
  2. When conciliation proceedings going on and after 7days from the conclusion of Such proceedings – no strike
  3. Before the expiry of date of lock out specified in notice

Chapter V A


Lay off & Retrenchment (Sec 25 A to 25 J)

25A – Applicability
  1. Not applicable to Chapter V B
  2. Less than 50 workmen on an average day
  3. Seasonal Character /work is performed

25B – Continuous service ( including services interrupted on account of sickness, authorized leave, accident, strike which is not illegal or lock out or cessation)

  1. 1 year – Mines-190 days Others- 240 days
  2. 6 months – 95 days 120 days

25C – Laid off (Sec- 2(kkk))- In ability of the employer to give employment due to Shortage of Raw material , Accumulation of stock , Break down of machineries etc. For compensation
  1. Minimum. 1 year Continuous Service 2.50 % of (Basic + DA)
  2. Preceeding 12 months – Laid off – more than 45 days – no such compensation payable on the expiry of the 1st 45 days

Badli Workmen: In place of another workman whose name is born e on muster rolls ceases to exist after 1 year of continuous service. Sec – 25 D – Duty of an employer – maintain muster rolls of workmen.

Sec – 25E – Not entitled to compensation in certain cases.

Sec – 25 F – Conditions precedent to Retrenchment of workmen not less than 1 year

  1. One month – prior notice- stating reasons for retrenchment
  2. Wages for the period of notice along with the notice
  3. 15 days average pay* every completed year of continuous service
  4. Notice in the prescribed manner to the Appropriate Govt.

Sec- 25 FF- Compensation in case of Transfer

Sec – 25 FFA- Intention of Close Down

  • 60days notice to the appro. govt. stating reason(But not applicable to the Industrial Establishment where less than 50 workmen are employed)

Not necessary:
  • Less than 50 workers
  • For construction business or other contract business etc.

Sec – 25 FFF- Compensation in case of Closing down ( Sec - 25 F should be followed )

Sec- 25G- Procedure for Retrenchment (As per LIFO Method)

Sec- 25H – Re-employment of retrenched workmen(Preference over others by offering)

Sec-25J- Any provisions or any bylaws in standing order /agreement –inconsistent with the above said laws are void

Chapter V – B


(Spl. Pro. to Lay off, Retrenchment and Closure in certain establishment)
(Sec-25K to 25S)
Sec- 25K Applicability
More than 100 workers (Now 300 workers as per the amendment w.e.f. 21st Aug’ 1984)

Sec- 25M Prohibition of lay off (more than 50 –notice is enough) (more than 100 )
No workman other than – Badli/Casual, allowed to be laid off without the prior permission from the appropriate authority

Sec- 25N : Conditions Precident to Retrenchment of Workmen
  1. 3 months prior notice with payment- if more than 100 workers
  2. Prior Permission – if more than 50 workers

25O – Closure (Penalty for not complying the formalities given below- Sec- 25R) if more than 100 workers :
  1. Prior Permission – at least 90 days before
  • To the Appropriate Govt.
  • Reasons for closing should be given
  • After getting the application- after giving fair and reasonable opportunity of being heard (Employer, Employees and Other interested parties) considering the genuineness and adequacy of reasons & after enquiry pronounce order
  • When the Appro.Govt. not communicated within 60days – permission deemed to be granted after the expiry of 60 days.
  • Order issued by the App. Govt. shall be final – in force for 1 year
  • App. Govt –By application/ own motion- review its order / refer the matter to tribunal
  • Where permission granted- 15 days average pay for each completed year of service to be given to employees.
  • If more than 50 workers:
    • 60 days prior notice ( As per chapter VA ( Sec 25 FFA)

    Sec- 25Q Penalty for lay – off and retrenchment without previous permission (Any contravention of Sec 25M, 25N)
    • Imprisonment – upto 1 month or Fine upto Rs. 1,000/- or Both

    Sec- 25R Penalty for Closure (any contravention of Sec 25-O)
    • Imprisonment – upto 6 month or Fine upto Rs. 5,000/- or Both

    Sec- 25S
    For Chapter V-B, Chapter V-A’s Provisions of Sec- 25B, 25D, 25FF, 25G, 25H & 25J is applicable.

Chapter V-C


Unfair Labour Practices (stated in Fifth Schedule)
  • Prohibition of Unfair Labour Practice Sec 25T

Penalty for the above
  • Imprisonment – upto 6 month or Fine upto Rs. 1,000/- or Both

Factories Act 1948
  1. It deals with Safety and Welfare Measures of the Workers
  2. Forms and Registers Maintainable with respect to the said act
  3. Rules and regulations to be followed with respect to factories
  4. Units not covered under Shops and Establishment Act.
  • The said act is applicable all over India including Jammu and Kashmir
  • Amended in 1976 (Based on the recommendation of Royal Commission on Labour in India & International Labour Organisation in India )
Definition

Factory (Sec -2(m))

Premises including Precincts :

  1. Manufacturing Process ( Sec –2 (k) )
  2. 10 or More Employees (with the aid of Power- Sec 2(l))
  3. (or)
  4. 20 or more Employees (without the aid of Power – Sec2(g))

Exemptions:
  • Sec – 85: includes factory – official gazette (Even not complied the above criteria)
  • Sec – 86 : exempted from factories – public institution – Educational reformation, etc. (Even Comply)

Definitions:
  • Adult - 18 years complete (Sec- 2(a))
  • Adolescent - Between 15 & 18 years (Sec- 2(b))
  • Child - Below 15 years (Sec-2(c))
  • Young Person- Either a Child or Adolescent (Sec-2(d))
  • Occupier- Manager/ partner who manages/etc. (Sec- 2(n))
  • Shift – Period & Relay- Employees working in a Shift ( Sec-2(r))

Approval, Licensing & Registration of Factories (Sec-6)
  1. Notice by occupier to the Inspector of Factories-stating Name, Address, other details ( Sec – 7)
  2. Application, Plan of factories, Notice not submitted – no license(Sec- 6(1))
  3. After getting the notice - no response by authority – after Completion of 3 months –deemed to be accepted (Sec- 6(2))
  4. Thirty days of refusal – Appeal to Central Govt. –(Sec- 6(3))
  • Inspector – (Sec- 8)
  • Powers of the Inspector (Sec-9)
  • Certifying Surgeons (Sec-10)
  • Health ( Sec –11 to 20) (Lighting, Spacious, White Washing, Air Circulation , Moderate Temperature , Spittoons, Drinking Water)
  • Safety ( Sec – 21 to 40) (Fencing the Machinery, Avoid Child & Women Workers to work in machines in motion)
  • Welfare( Sec- 40 to 50) 150 Workers = First Aid Box, Shelters & Rest Room
250 Workers = Canteens
30 or more women = Crèches (Below 6 years child)
500 Workers = Welfare Officers
100 Workers = Works Committee

Working Hours:
(Sec-51 to 55)- Working Hours of Adult
  • Not more than 9 hrs. per day
  • Not more than 48 hrs in a week
  • At least ½ hr. for 5 hrs. – interval
  • if permission not more than 6 hrs. from the Inspector of Factories

(Sec- 56) Spread Over – not more than 10 1/2 hrs/day
  • If permission obtained – not more than 12 hrs. per day (Sec- 57) Night Shift

  1. Ladies not permitted (Before 6a.m. & after 7 p.m.)
  2. Child and adolescent not completed 17 years – not permitted

(Sec-59) Over time
  1. Double Wages
  2. Notice – Period of Work
  3. Adult - Sec. 61
  4. Children – Sec 71
  5. Register – Should be displayed in notice board
  6. Adult – Sec. 62
  7. Children- Sec.72
  8. Weekly Holidays
  9. Sunday or 1 day holiday for 6 days ( Sec.52)
  10. Compensatory Holidays
  11. Holiday available that month & subsequent month( Sec. 53)

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